Octahedron Capital Invests $727,000 in Shopify, Boosting Holdings

Octahedron Capital Management L.P. has significantly expanded its investment portfolio by acquiring a new position in Shopify Inc. (NASDAQ: SHOP, TSE: SHOP) during the second quarter of 2024. According to a recent 13F filing with the U.S. Securities and Exchange Commission, the institutional investor purchased 6,300 shares of the e-commerce platform, with a total value of approximately $727,000. This investment represents 0.5% of Octahedron Capital’s overall holdings, making Shopify its 19th largest position.

Octahedron’s move comes amidst a wave of activity among institutional investors regarding Shopify. Sumitomo Mitsui Trust Group Inc. increased its stake by 4.4%, owning now 5,231,257 shares valued at around $603.4 million after adding 218,829 shares in the last quarter. Meanwhile, Mirae Asset Global Investments Co. Ltd. saw a substantial boost to its position with a 171.3% increase, bringing its total holdings to 423,295 shares, valued at approximately $48.8 million following the acquisition of an additional 267,271 shares.

Further developments include Oppenheimer Asset Management Inc., which raised its holdings by 9.6%, owning 400,389 shares worth about $46.2 million after buying 35,113 shares. Similarly, ARK Investment Management LLC increased its stake by 13.6%, now holding 5,049,508 shares valued at approximately $582.5 million after acquiring 605,283 shares. Avior Wealth Management LLC also expanded its investment, increasing its holdings by 32.6% to 13,609 shares, worth about $1.57 million. Overall, institutional investors own 69.27% of Shopify’s stock.

Analyst Ratings and Market Performance

Recent analyst reports reflect a generally positive outlook for Shopify. On November 5, 2024, Needham & Company LLC reaffirmed a “buy” rating, establishing a target price of $180.00 for the shares. Barclays assigned a target price of $140.00 and an “equal weight” rating on the same day. BMO Capital Markets raised its price objective from $180.00 to $190.00, giving the company an “outperform” rating. Additionally, Robert W. Baird increased its price target from $160.00 to $170.00, maintaining an “outperform” rating. Oppenheimer also reaffirmed an “outperform” rating, raising its target price to $200.00, up from $180.00.

Currently, 22 analysts have rated Shopify with a “buy” rating, while 24 analysts have assigned a “hold” rating. According to data from MarketBeat, the stock has an average rating of “hold,” with a target price of $163.89.

Shopify’s Recent Financial Results

On November 4, 2024, Shopify reported its latest earnings results, highlighting a $0.27 earnings per share (EPS), exceeding the consensus estimate of $0.24 by $0.03. The company’s revenue for the quarter reached $2.84 billion, surpassing the consensus estimate of $2.75 billion. Shopify’s return on equity stood at 11.72%, with a net margin of 16.65%. The company has projected its Q4 2025 guidance at EPS, with sell-side analysts forecasting a 1.12 EPS for the current year.

As of the latest trading session, Shopify shares opened at $140.45. The company has a market capitalization of $182.84 billion, a price-to-earnings ratio of 104.04, and a beta of 2.73. Over the past year, Shopify’s stock price has fluctuated between a low of $69.84 and a high of $182.19.

Shopify Inc. operates a comprehensive commerce platform, offering services across various regions including North America, Europe, and Asia Pacific. The platform enables merchants to manage their products, process orders, and engage with customers through multiple sales channels, from online storefronts to physical retail locations.

For more detailed insights on institutional holdings and recent trades for Shopify, investors can visit HoldingsChannel.com for updates on 13F filings and insider trades.